Contractor Employment, Tax Rules Delayed in U.K. Over Virus

The new coronavirus outbreak has pushed the U.K. to pause its plans to expand rules on the employment status of contractors in the private sector.

• The one-year delay is meant to ease pressure on businesses during the Covid-19 pandemic.
• The “off-payroll” rules, known as IR35, aim to ensure that contract workers pay about the same tax and social security contributions as regular company employees.
• The rules first applied to public sector employers in 2017 and were being expanded to cover private sector employers starting April 6, 2020. The rules will now take effect April 6, 2021.
• At the urging of ...